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Pilkington 5% price increase

Now that the Japanese owned company Pilkington has announced a 5% price increase, the Chinese owned company Fuyao can follow suit. Good opportunity for NAGS to drop its brilliantly conceived benchmarks by 6 or 7 percent.

Re: Pilkington 5% price increase

nothing new here, you raise the price for glass and then someone lowers how much you are going to make. still don't why anybody does auto anymore

Re: Pilkington 5% price increase

Because many, including SL (unless they're vetting YOUR pricing), don't pay attention to NAGS. That's why.

JMHNLO

Re: Pilkington 5% price increase

Mark 1 what does SL use for billing and some others?

Maybe we can board that same train.

Re: Pilkington 5% price increase

Not only is is Pilkington a Japanese company, the great majority of glass you get is made in Mexico. At least part of FYG is now made in America. Pilkington is circling the drain. Brilliant move on their part, raise prices 5% when you are already the highest priced supplier in the industry. Watch their sales decrease and close even more warehouses. How do the people in Columbus, OH keep their jobs? They certainly did not put out a press release when the just closed Memphis and Texarkana. They have already closed San Antonio, Austin, Longview, Ft.Worth & Texarkana. They have given up on Texas......falling like dominos. Not a giant leap to say they will exit Texas completely (Houston, Amarillo & El Paso). Shame what upper management has let happen to that company.

Re: Pilkington 5% price increase

Just sayin
Mark 1 what does SL use for billing and some others?

Maybe we can board that same train.


That, of course, would be the Colonel's Secret Recipe. LOL

Generally speaking, what they use to sell glass on the retail side themselves, vs what they tell shops they can sell glass for, themselves, are two different things. Obviously, what they use to tell shops what they can sell glass for and labor hours involved, is NAGS.

Look at it this way, for an example: PPG owned Lynx. PPG did, for years, have it's own "list price" system they used due to a lawsuit they lost involving price fixing allegations, that was NOT the same as NAGS. As I recall, prices differed slightly, only, from NAGS list. PPG, and most other mfgs, ignored NAGS list prices when wholesaling parts (remember R parts and Net priced parts?), yet folks like Safelite, and Lynx, enforced NAGS list to vett what shops were charging at the retail customer level as if it (NAGS) was a bible. Why? If they won't SELL parts using NAGS list because it "does not work", how can they tell shops what they can charge at the retail customer level using NAGS list?

Talk about an oxy-moronic double standard....

And, it's still in place today.....lol lol if you choose to allow it.

Bud himself defended NAGS repeatedly in public NAGS seminars, stating that if the industry didn't believe NAGS was "relevant" or "useful" or "accurate", I can't recall the exact wording he used, that they industry wouldn't USE NAGS.
Bud never quantified who he considered "the industry" to be. I suppose that NAGS customer base defines who they consider "the industry" to be.

Bottom line is this: Nothing in this industry is "accepted" unless one actually "accepts" and uses it. Anyone that tells you differently, is either selling you something, or has sold something to someone else, and needs you to believe it, and "accept it".

My point is, there is no "open market" if someone else is telling you what you can sell your product and services for. It's the "Empereror's New Clothes", and up to you to choose to to go with the crowd, and believe you're blind, or point out the Emperor is naked.

JMHNLO

Re: Pilkington 5% price increase

When Safelite offers an insurance company one flat price for each glass claim, whether it is repair or replacement, it is with the clear understanding that Safelite will receive the lion's share of the insurance company's steered jobs in order for Safelite's averaging out model to work. A small shop obviously cannot average out and cannot offer one flat price for all jobs.

BUT THAT DOESN'T MEAN A SMALL SHOP HAS NO OTHER CHOICE BUT NAGS!!!!!!!!!!!!

There have been dozens of posts here in the last year about taking your glass cost, overhead, and adding a profit to achieve a reasonable return on investment.

This bulletin board is like a broken record of whining about NAGS, TPA's, and networks. Same old, same old. The sheep never learn.

Re: Pilkington 5% price increase

David
When Safelite offers an insurance company one flat price for each glass claim, whether it is repair or replacement, it is with the clear understanding that Safelite will receive the lion's share of the insurance company's steered jobs in order for Safelite's averaging out model to work. A small shop obviously cannot average out and cannot offer one flat price for all jobs.

BUT THAT DOESN'T MEAN A SMALL SHOP HAS NO OTHER CHOICE BUT NAGS!!!!!!!!!!!!

There have been dozens of posts here in the last year about taking your glass cost, overhead, and adding a profit to achieve a reasonable return on investment.

This bulletin board is like a broken record of whining about NAGS, TPA's, and networks. Same old, same old. The sheep never learn.


Well said, David.

I would like to add that one should seriously consider not only your materials cost, but ALL of your costs, into your cost-plus equation.

Last time I checked, materials didn't communicate with the customer, order themselves, receive themselves, load themselves, transport themselves, nor install themselves. In other words, many other factors bear in a cost-plus equation besides glass.

Not suggesting, Dave, that you haven't figured this out, but for the benefit of those seeming to need the "broken record", I thought I'd toss it in to the "food for thought" mix, yet without breaking any of those precious and oft mis-stated "price fixing" concerns.

Every other true open market business model runs on cost-plus. There is no reason this one shouldn't unless there is outside interference from a legitimate, or illegitimate, regulatory force.

JMHNLO

Re: Pilkington 5% price increase

Mark:
Well said as usual. Insurance company's attorneys argue that there are only 3-4 components that should make up our cost. How ludicrous! The cost of glass, adhesive, labor, and moldings is just a start. They know that, of course. But unfortunately many shop owners have never learned how to calculate their real, total costs. I know the average cost per invoice for my business. And I know that other shops doing cheap cash and insurance jobs are losing money. And they're helping SL in the process.

Re: Pilkington 5% price increase

Funny story. I had a NON safelight third party admin send an email. To maintain profit we need you to increase your discount by 12%. REALY I thought. Just where am I going to pull that from? So I called an insure that uses this admin. Well that was pointless. Long story short. WE DON"T CARE WHAT THEY WANT. We have the average invoice we want and they can do what ever they want. NOT our problem. They need to make money to don't ya know.
SO SO SO SO SO SO Tired of the games.
J.A.D.

Re: Pilkington 5% price increase

J.A.D.
To maintain profit we need you to increase your discount by 12%. REALY I thought.
J.A.D.


JAD, I would like to hear more about this statement, who made it, and in what context, but if, and only if, you can document it being made. (tape or in writing for example) Otherwise, it just won't matter.

Thanks, and JMHNLO

Re: Pilkington 5% price increase

I would send Both letters to you but according to the declaimer and privacy statement in the letter sent out before this I would have to kill you or be held accountable for any loses to them. I do have hard printed copies on file.
JSYK (just so you know)

Re: Pilkington 5% price increase

J.A.D.
I would send Both letters to you but according to the declaimer and privacy statement in the letter sent out before this I would have to kill you or be held accountable for any loses to them. I do have hard printed copies on file.
JSYK (just so you know)


Not an attorney, no legal advise here, as usual, but to my knowledge, any confidentiality agreement or disclaimer cannot be held valid when communicating info to law enforcement or regulatory officials.

Example: "Yes, I robbed that bank, but you can't tell anyone due to the confidentiality disclaimer and clause contained in this communication! If you do, I'll sue you for damages!"

Uhhh....no.

I've seen several laws of late, that specifically state a person must report.......or be considered complicit. One, loosely quoted, said "ANY person with knowledge of wrongdoing or SUSPECTED wrongdoing is REQUIRED to report that knowledge to the proper officials....." and the proper officials, actually replied that they DON'T WANT TO KNOW. Another said only consumers can file complaints....lol. I don't think they've read their own laws and statutes.

Food for thought, only.

JMHNLO

Re: Pilkington 5% price increase

Weak humor on my part from top Gun.
On a side note. Have they been having a lot of computers hacking the posts here????
Just wondering why they have a encryption thing so you can post. I surly wouldn't think it is to deter posting????!!!!!!

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